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tv   Countdown to the Closing Bell With Liz Claman  FOX Business  January 28, 2016 3:00pm-4:01pm EST

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opec is now talking about potentially cutting production. they like the sound of that. because less oil out there, it means the oil prices will go higher, which you saw in today's market trading up about 3%. that is lending a helping hand we've got one hour to go, everyone. liz claman is walking you through it. liz: thank you, trish, all systems go on wall street as trish articulated. green dominating the screen, dow jones industrials moving higher by 114 points as facebook, under armour, caterpillar all beating the streaks. helping the market move higher. oil as you know has been surging, did settle up for the third straight day. up nearly 27%. it is pushing the dow over 16,000. the s&p 500 over 1,900, but also first-time jobless claims too that are helping this market. now, while wall street rides the waves, the center of the political universe is des moines, iowa right now. where tonight republican presidential candidates will answer the tough questions
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from the fox news moderators with one exception. donald trump still mia leaving a major opening for ted cruz. marco rubio, jeb bush, and the rest of the field who are dying to get in front of those satellite trucks and grab your attention, and issue the american values they believe are most important. we'll take it up with former republican presidential candidate who also chose to skip the iowa debate when he ran back in 2012. former governor of utah huntsman. new polls show democrat bernie sanders closing the gap on hillary clinton in iowa. could it be his plan for free college that has really become the pin that is attracting potential voters. and is free universe a possibility or pipe dream? joining us first on fox business, former fdic chair who has just instituted a
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freeze on tuition at the college she runs. plus the echo chamber says the economy is horrible. that you know. but when one auto dealer manages to sell 8,000 mercedes in a single quarter. is it really as bad as they say? ceo mike jackson is here. less than an hour to the closing bell, the bulls are liking facebook and amazon at this hour. let's start the countdown. ♪ ♪ . liz: all right. speaking of amazon, and we need to tell you this. it is breaking news. we are watching some interesting behavior in amazon stock. look, it had been moving higher all day but suddenly in the last hour, amazon has been spiking 7.5%. it's the gain here of $44 and change that has grabbed people's attention. what makes it more than just a path being mentioned is that amazon hasn't even come out with its earnings just yet. here's a picture and you can see shortly around 2:00 p.m. eastern we saw this pretty significant spike.
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so the report for q4 isn't out yet, the online retailer is due to report those numbers after the bell. but if we were to close here, this price gain of $43.70 would be the biggest jump of amazon. is somebody trading ahead of the news on a hunch? either way the herd senior jumping in. watch this. we have investors hitting the like button on facebook too. joining crushing estimates reported revenue of $4.8 billion and get this. its market cap at 247 billion or so is now larger than the world's biggest retailer walmart. who stands at 204 billion. right now facebook jumping about 15-point three-quarters percent. its biggest rally in two and a half years. again, oil you can't ignore this. hot or not market, hot today, pulling markets into the green, helping certainly. surging about # .85% at the close. now above that. up 3.5%.
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this gain that we saw at the close, three days in a row thanks to the russian energy administer spilling the beans about a possible saudi plan that seems to be taking shape. saudi arabia could lead 5% and cuts across the board in opec along with russia if russia agrees. all 40 names in the s&p sector are higher today. up great 8% plus and then murphy oil looking very strong right now. caterpillar also plowing through earnings this past quarter. the company beat estimates disappointed on sales. not hurting the stock right now at least up 4.5%. ceo dug overhellman expecting 2016 to be a challenging year. traders don't care. they like these numbers. to politics and gop presidential candidates who have accepted the invitation to participate in tonight's debate. we are told that this hour that they're wrapping up their walk-throughs and making final preparations to steal the spotlight vacated by donald
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trump after he decided to boycott the iowa showdown. at 7:00 p.m. eastern, four candidates face off. carly fiorina, mike huckabee, rick santorum, jim gilmore will all try to make an impression on you with just four days until the iowa caucus voting starts. 9:00 p.m. eastern ted cruz gets to take the center stage by marco rubio and ben carson hoping all of them from rand paul to chris christie to john kasich to jeb bush, all of them hoping to capitalize on the opportunities with the debate minus one billionaire businessman from new york. he's still out, folks, at this hour. if anything changes, we will let you know. but the candidates surely to be pressed by the moderators on jobs, economy, immigration, national security we know that's what you all care about. but in the lead up to the iowa caucuses, we are now learning that the issues that the voters are most focused upon might be changing as we speak. how do we know that? well, fox is partnering with google tonight using its google news lab touch screen.
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what it does is basically breaks down exclusive data including voter interest, what's trending, and this is really interesting. which candidate is getting the most google searches. we have bigger information than just sort of what's trending. and fox news shannon is calling all of that info. live in des moines. i would imagine the number of google searches may or may not correlate to higher interest. but who has seen gains? that's what we want to know. >> what's interesting is that this google trend data can be collected minute by minute. so we want to look in two different groups. first of all, we want to look at the under card tonight. the first debate. if you look at this, you can see -- actually this is the -- this is the main event here. but we do have an interesting graphic if we can get to it. the under card that shows when you're looking at who is talking about who, all of the people who are on the stage tonight are dominating at least one county and that's including jim guil gilmour. but when you look at this one
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blue, that's gilmore, so he's dominating in at least one county. so this is the main stage tonight or who would be in the top tear and you can see obviously donald trump is dominating the searches here in iowa, but we also have some other counties where other people are showing up. new brunswick second place. a lot of conversation about him as well. now, there's all kinds of quirky information that we can see about people searching about particular candidates as well. asking people, like, how old a particular candidate is, how they feel about guns, those kinds of things. but also interesting spikes. there's been a lot of conversation in the recent weeks about ted cruz being born in canada. well, there's a guy apparently going around to all of his different stops saying a sign that ted cruz loves nickel back. obviously a band based out of canada. there are people searching about that. look at this. we see a spike. 1,600% increase and people who are searching online about this nickel back guy about the thing in canada and ted cruz. so this google trends data is very specific. it can look at interesting spikes and trends. it's going to be interesting
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to see tonight during the two debates. they can give us realtime information if people are reacting to a moment in the debate something that's been said or they want to know a position about a particular candidate. we'll know all of that tonight and it's interesting and glad we have it to work with. it's been a lot of fun. >> nickelback, the lead singer. yeah, he's canadian. it has come to this, hasn't it? i think the important point that shannon is articulating here we can figure out -- look at that one county that jim gilmore who was the guy who braved a terrible storm at one point and one guy showed up that and jim sat there and spoke to that one gentleman. those are the kinds of things that people cease upon. when you turn your back, that's another case. former presidential candidate,
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former utah governor and the guy who sat out the debate when he was running for different reasons, john huntsman joins us in about 20 minutes to tell us how that affected his race and who perhaps might get the lead here in this debate without the front return. be sure to watch the republican presidential debate fox news tonight 7:00 p.m. eastern the first one to end you know how the rest goes. the markets jumping right now, the dow jones industrials up 112 points but the highs of the session up 149, the s&p up 20, so we've cut those gains in half for the s&p but what's the best way to really get involved here? or is this just another head fake? we get to the floor, traders a at the new york stock exchange. great to have you there. and thank you so much for joining us because teddy, i'm looking at a market that i don't know if i can even believe it, do you? >> well, i think the head fake, i think your head fake comment is it another head fake? and i suspect this a lot of people still -- that's still a
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relatively negative -- but we have two days to go in the month and this has been some horrendous month. i don't think we can get it all back in two trading days. but up is still up. we've gotten some pretty decent earnings. for the moment all quiet on the western and eastern front. so hopefully at least we can limp through today and tomorrow and get some positive gains and try to salvage something and go into february with a fresh, new pallet. liz: well, i'll show you salvage salvagesaging something. facebook salvaging, there's no salvaging, it's sorg. amazon has pointed this out. behaving a little bit -- i don't want to see bizarrely but to jump 46 bucks ahead of q4 numbers. is there a little frothiness you're starting to feel or home-bound bulls that are dying to get out and start buying? >> let's look at it this way. you've got your fan club
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behind me, so they're trying to say hello to you. liz: hi, guys. >> and what i'm saying, i agree with teddy. this has been a crazy month. i think -- i don't think i would want to be jumping in this. i think you look at the rally, let it run a little bit. look at moving averages like the 18-day, and understand did something come out on amazon we don't know about? you know, in the past we've seen earnings report come out or leaks. maybe that's part of what is going on. i'm also watching the gold market right in here, liz. this is the rally. that's what i'm calling it because it's been rallying ever since he said be careful of a hard landing in china. liz: what's rallying? you've got to clarify. gold? simply gold? because it's doing nothing right now. >> well, today it's doing nothing. but look at it off its low for this year it has had a really dramatic rally the whole market of january. this market is moving nicely and he who brought up the fact looking forward who happens
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with china here? what if after the holiday offers more services than we think. if that's the case, i think that's why gold has come alive and crude oil. come you're finally going to cut supplies. what everybody is looking for. it's all bullish stock market into end. liz: i think teddy is saying i want to take a lunar holiday. >> i've been on a lunar holiday for 30 years. [laughter] . liz: thank you. good to see you. tell the club behind you, ira,a all said, hi. thank you very much. >> i will tell the guys. good to see you. liz: we love our traders. we've got more on the economy in a different way. we would show it to the prism on the guy on the trenches. mike jackson at auto nation. he does not sell cheap products, he sells things like mercedes, which are out of a ford f-150s, what are are the markets telling him?
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he's here, 48 minutes before the closing bell rings. do this. calculate how much you spent or are going to spend on college tuition, and you'll be hanging your head against the wall, freezing massive amounts of chocolate or even a bottle; right? the closing bell as we wait on this and no wonder some candidates are making it a centerpiece of their campaign and in the case of democrat bernie sanders, it is working for him. he's calling it of course the free college act. college for all act that has millennials jumping on the campaign ban wagon and apparently parents of millennials too. former fic chair and washington president herself coming up first on fox business she's in the greenroom waiting to tell you if free college is possible. if it's a winning campaign strategy, if it wins for her, you've got to hear what she has to say. her, i trust. you pay your car insurance
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most student debt. and the democratic candidates are tailoring college plans to win that support. since taking the helmet washington college last fall in maryland, former fdic chair sheila bair decided what you know? i'm going to institute a one-year tuition freeze for students. she is calling fresher approaches for controlling college costs. she's here first on fox business. freezing college tuition at what price? >> well, it's -- the standard for colleges. 55,000 tuition room and board liz: i'm seeing stars. you multiply that for four years. >> yeah. a school of our size and ranking. yeah, but it's high. it's been going up nationwide . liz: and you made college affability a real center. >> it is. liz: but that's puts you in the position of the reality of what is out there right now. bernie sanders says -- and getting a ton of traction for this, free college for all.
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75billion a year it would cost the government and a few other tweaks he would do. >> yeah. liz: is something like that a possibility or a pipe dream? >> yeah. well, i hate to endorse or comment on specific plans but let's talk about the concept of free education. some of the approaches that i might be helpful. i think part of the problem is there's no price discipline because it has been so easy for kids to pay for tuition. so schools have been a pretty interesting study on this showing that the easy availability of student debt has created upward pressure on tuition prices. so kind of going all in on that common laws saying it's free. you know, how much is that going to cost? where will the price discipline be at all if it's just for public education? it's free. the incentives the schools themselves have to deliver quality -- liz: it's almost like it could be the new health care model. >> well, yeah,. liz: you add millions of people and there isn't a lot of money to get better
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professors and quality infrastructure. helping poor kids. >> yeah. liz: it has turned into a total nightmare, in my opinion. >> it really has, yeah. liz: it seems it sends a signal to universe universities, people will kill to get an education, so we can raise it outside of 2%. >> yeah. wage growth but they're paying higher and higher tuition and borrowing more and more to pay for it and they graduate and say they have all of this debt and the wages they're getting -- liz: what do we do? >> first -- i mean colleges need to see some leadership here. i think there's a lot of things the government can do too. but i think colleges -- and we're not the only ones. a lot of colleges are focusing on affordability. we've decided to reach tuition, launched two major campaigns so there's more philanthropy to support, kids going to school as opposed to having to borrow money, we're trying to be more efficient
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taking a hard look at our nonfaculty cost, administrative cost, you've seen colleges across the country, that's really where the growth is. liz: but norway, sweden, they do it, germany is starting to dip its tow in the water of offering free public education. >> yeah. liz: is it heading to that? and, again, i'm telling you bernie sanders is getting. >> yeah. liz: real attention. >> well, no, i'm sure and, again, it's well intended. and maybe freeze better than $1.3 trillion of student debt. but somebody is still going to be paying for that. and i think you need to look at the quality outcomes -- liz: who's the demon here? the student loans? >> yeah. liz: or the universities who took the -- >> i don't know if there are demons, but i think these student loan programs were very well intention and not very well thought out. so there was really no discipline or accountability among the schools in terms of getting this large -- liz: how about this -- what if we made university three years? >> yeah. well, that's a possibility. i mean certainly only three or
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four you're going to have -- it's going to be less expensive and there are some programs that go there. i think other degrees really require four years. and i don't -- we rush our young people so much that force them into a three-year track. it's student -- the schools to facilitate that but to make it the norm, i don't know. i think there are alternatives now that have bipartisan appeal, for instance, when the loans are paid, make that based on income as opposed to a flat -- liz: cut them to what auto loans are, 2.5%. >> well, that's the problem. a lot of the kids are paying above market interest rate. liz: such a rip-off. >> but jeb bush had a plan to dramatically simplify all of this, create a $50,000 line of credit instead of loans, and you would repay that basically 1% of your income for 10,000 that you borrow. if you do it for large colleges, graduate school, you could do it for occupational training, you could do it for apprenticeships. it would be available for everybody and then the repayment would be based on your percentage of income, which for the kids that are
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opting into -- you know, teaching or professionals that wouldn't pay a lot, it would decrease stress on them. and then there are democrats that have a lot of sympathy for that approach too. that would help. liz: you've just got to be realistic. >> well, you do. that's very true. very true. liz: sheila bair, fdic former and now head of washington college. congratulations for freezing. freezing tuition 50 plus grand. >> yeah. liz: my kids are still too young. i can't imagine what it's going to cost. accidental. >> thank you. liz: closing bell ringing in 37 minutes the candidates making their final preparations for tonight's fox news debate. take a look. we're showing you live pictures outside the iowa events in des moines. where -- yeah, those guys are not getting parking tickets. they're allowed to be there. how many satellite trucks, you can't even see how long that line is, but we are going to get a lot of attention for this one because the candidates are going to be getting ready to answer some tough questions from brett bear.
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megan kelly and chris wallis. but what are they doing today for prepare for the big night? blake burman knows how they're tweaking their strategy at each campaign. live in des moines in inject and tell us what you're thinking about ahead of tonight's debate. you can tweet me @lizclaman, lizclaman.com, s&p just gained another 3 points. we're up 12. stay tuned
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liz: 32 minutes before the closing bell rings, and we do have a rally that appears to be holding right now as you see dow jones industrials up 119 points. but i always like to give people perspective. if you are just tuning in or on xm satellite radio, don't cia off the 405 or route 17. hold on. we're looking fine. the s&p is still up 10, but it had been up 20. not enough being bought on ebay this past quarter. used showerheads, yeah, didn't
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work that well. the online auction site reported disappointing revenue growth and shares are plummeting about 12.5% right now. ebay standing at $23.11. we are less than four, four hours the three and a half to the next respect presidential debate. each candidate has toured the iowa event center ahead of the mudslinging and fox news' team is busy putting the final touches on the stage. there it is. i believe those are some of our floor crew who are standing in. camera guys. they look great. sit up straight, guys. rob. rob. the iowa event center hosts a variety of events each year from the ji justin bieber to the harlem globetrotters but the festival, blake burman is on the ground in des moines. blake, what can you tell us?
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what's the latest? >> we had some chicken and pasta for lunch today. maybe the cameraman had too much of that, liz, maybe relaxing or something. but i will tell you i was inside that debate hall, i believe that's the shot you just showed. inside that debate hall a little while ago and the candidates are making their last minute walk-throughs. a ritual at all of these. they've done it at the ones previous and they're doing it now. i want to give you a sneak peek behind the scenes there. take a look. >> so this is the grand balance room inside the iowa event center. 1,500 people will soon pack this facility along with 11 candidates up on that stage right here. this is the main stage, the big stage here where the 11 candidates will be over the course of the two debates. they'll filter out here throughout the afternoon, go up on the stage, get a lay of the land, what cameras they'll be looking at, where their families are seated just so they can get comfortable and from that point on, they go wherever they feel like going.
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back to their hotel in most cases to kind of prep, get ready for tonight and eventually they'll make their way back here to the event center in downtown, des moines, about an hour before they'll go to their greenroom with their families, whoever is with them, their advisors and get ready for their debate. at that point just a few minutes beforehand, they will walk right through that exit way, that entranceway right there onto the stage for the big night. >> pretty neat setup they've got inside there, liz, i've got to tell you. and not only are the candidates doing their last-minute preparations but also the moderators all muddled up trying to get those last fine tweaks on those questions that will mean so much to the iowa voters. liz: where's the food? we're always talking about the food here. i want to see the greenroom food, blake. >> it's inside. it is pretty good. there's plenty of bacon, i will tell you that much. but we're trying to eat healthy because we're on the road for two weeks. liz: yeah, and that smile of yours, that looks pretty healthy. blake, one quick question, though.
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we're hearing that the candidates are rejiggering their strategies knowing that they have more oxygen or may have changed now that donald trump turned his back on the iowa debate tonight. >> yeah. that's right and think about these. candidates have been saying for months, hey, we would like attentionous. forget donald trump. well, tonight they're going to get exactly just that. i'll give you two quick examples. the cruz campaign told me when they're doing their debate preparations yesterday that they indeed shuffled things around to try to refocus on how it might play with a trump list to beat. that's the cruz campaign, the carson campaign dr. ben carson told me a little while ago they're not changing anything. they're looking at it as any of the last half a dozen or so debates and they're just going to go with it as is. two sides to that i guess. liz: good to see you, blake, thank you for that inside scoop. we love that eye on the ground from the inside. you only get it right here. the closing bell in 28
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minutes. the gop stage shaken up as the markets go higher by 130 points. ted cruz and marco rubio suddenly as you heard blake say the center of attention. can they capitalize on the trumpless debate? and, look, we're not turning our backs on any of the other people as well. they could make a real move here. we have the former republican presidential candidate and former utah governor john huntsman who also sat out a debate at one point in his effort. how he sees the debate without the frontrunner and how that will play out. you're looking live outside the event center in des moines. the sight of tonight's fox news gop presidential debate countdown coming right back
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its performance...breathtaking. its self-parking...and self-braking...show-stopping. the all-new glc. mercedes-benz resets the bar for the luxury suv. starting at $38,950. liz: breaking news. we have live pictures of former president bill clinton. he's speaking right now at cornell college in mount vernon, iowa did drumming up support for his wife's campaign. i love the sweater. that the kind of thing. shara palin's outfit sold out. maybe bill clinton's flag minus a few stars. where's california's star? i need to see that. all right. he's on that campus and talking of course to hillary clinton supporters or perhaps people who are thinking about supporting her. to tonight's fox news
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republican debate there. president clinton speaking now. and iowa feels like the center of the universe. it won't be just iowa voters watching right now. i am joined by someone who had to personally make the decision to skip the debate when he was running for president. former utah governor who is also a candidate in the 2012 election. you -- i don't want to say pulled a trump but you did sit out a couple of debates. how did that affect you? >> well, liz, first it's great to be with you and congratulations on the rally and the market today. that's the best news of all. >> finally. liz: you know, i think back on four years ago it seems like so last century. the rules of the game have changed so remarkably in just four years. and i think fundamentally changed forever. you know, i was, you know -- i had my differences ideological with some of the voters in iowa. i was antiagriculture subsidies. i was pro marriage equality. so one of the things that you
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say where do you want to put your time? but this go around, i have to say, liz, that these are the closing argument that the candidates are making. and i would say that the closing arguments that are made tonight in iowa are a lot more important than they were for any candidate four or eight years ago. what are the voters looking for this go around? they're looking for strength. they're looking for somebody who is not the traditional politician. and trump is doing something i think is all together a novel. he's a business guy, i mean if i had told you, liz, a year ago that the frontrunner would live in a big condo on 5th avenue and would have never held elective office, never in uniform and all-out war with your network, by the way. you would have called me crazy and that's where we are. so trump in kind of playing to where i think he perceives the basin iowa where they want strength, they want somebody who is not the traditional politician. he's using leverage in politics, which is rarely used. used a lot in business. he understands the principle
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extremely well. he's a school guy, he's using leverage in politics just like he used leverage in business and high risk high reward. he's running a risk here but the reward could be significant in the audience he gets tonight and the way he's able to make his closing arguments in terms of i'm strong, nobody else on the stage is, they're all the same, they speak the language and, by the way, all in the hall down the street doing a debate and i'm not there. i'm here with our veterans doing all something all together different. my guess that's his game. liz: well, having been on the ground and having watched all of these things. how do you think iowaians will take it when they have walked to the caucus locations and decide for whom they will vote? >> you know, that is the question. the polls tell you one thing that trump is very, very competitive. what i think he's done in the last week or two is he's been able to connect with the evangelical base. so you have to look at the voting blocks in iowa that gather in parking lots, put
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people in vans, ship them off to the voting precincts, the caucuses. who's best to organize on the ground in terms of that thing called get out the vote? consequently guess is he's been able to penetrate what once was cruz's strong hold, the evangelical vote. if that's the case, then i think he's going to be very, very competitive in iowa. now, i've been to new hampshire in the last couple of weeks, and i can tell you trump is extremely strong on the ground there. and if he wins iowa and new hampshire, i'm not sure there's a whole lot left in this campaign cycle. liz: well, you mention the markets. i need to ask you before you go. china, and you were the ambassador to china. i -- wow we're seeing a gain here of 134 points but certainly we had a very rough january. how do you treat that to china and its year of communicating what was going on in its own markets? >> you know, i think a lot of it is oil. i think a lot of it is uncertainty gdp growth. the factor in the marketplace has been for at least two, two and a half years now. so that's not a new story, but
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i will have to tell you when the marketplace dropped 30, 40% last august. liz: yeah. >> and when it's been so shaky earlier this year, both shanghai are coming to ground. the ratios have been exceedingly high there. both to the realities of the marketplace. they're coming down, that carries with it a scare factor and a lot of the small investors in fleeing and selling and that creates a whole other dynamic by itself. so my guess is that we're going to continue to go through a rocky period in the china story as they because from investments and exports to consumption. it will be a very journey but we're going to have some consumption when the consumers start buying more in china. liz: is there anything you can't talk about? you can talk about business, markets, politics, it's great to see you. >> well, just remember i'm a total perfect practitioner of politics. thank you for reminding me. liz: and a lovely person when
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it comes to self deprecation. >> thank you. liz: tune into fox business for all the action and iowa on caucus day. neil cavuto hosts our coverage. we are coming right back dow is up 130 points. amazon spiking more than $50 right now. we were born 100 years ago into a new american century. born with a hunger to fly and a passion to build something better. and what an amazing time it's been, decade after decade of innovation, inspiration and wonder. so, we say thank you america for a century of trust, for the privilege of flying higher and higher, together. ♪ iall across the state belthe economy is growing,day. with creative new business incentives, and the lowest taxes in decades, attracting the talent and companies of tomorrow.
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liz: so at the top of the show, we were notifying some very interesting price action here. look, all day amazon has been looking pretty good. and you could argue that that is a nice, steady, relatively steady move to the upside. but the q4 numbers for the e-commerce did giant haven't even come out yet. they're coming out after the bell. what you're seeing here is a gain of nearly $50 is that the e-commerce is on track for its third biggest price gain ever. and ahead of that, we're watching this closely. it seems to be -- i don't know
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let's ask howard lenson. some of the information that has people very excited behind a spike of amazon. >> yeah. a big spike today. a lot of -- a lot of hedge funds continue to hate the valuation on this. the bulls are excited, the kids are excited about the fact that facebook beat and the kids understand this better than wall street so they're betting that they're right again and the last pure growth company which is aws, a division of amazon won't disappoint. you know, the real decision is long term amazon probably going to be the greatest, largest market company in the world. what happens tonight, who knows. but the bets are on and they're trying to run the shorts. liz: fascinating. societies interesting when we saw this, we said let's get him on. so right now we've got interesting chart here. up nearly $50 for amazon at the moment. howard, thank you very much. >> okay.
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liz: howard lindzon of spocktwits like vehicle sales reaching an all-time record in 2015 reaching 17.5 milliunits sold and then new home sales yesterday soaring 10.8% in the month of december. so can the american economy and what you're hearing about how bad it is. is it really as poor as they say it is? mike jackson ceo and chairman of auto nation, the largest auto dealer in the country has opinions of your own, i'm sure mike. last time we spoke you sold something like 7,000, in other words, single quarter. what is it in quarter i'm interested to know because these are not cheap. >> well, actually, good afternoon it was a very challenging quarter in the fourth quarter. we were expecting the six-year run of growth to continue in the fourth can quarter.
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we had the inventory for it, we spent the marketing dollars on it and i'm here to tell you it just didn't have it. we had to have significant discounts and additional incentives from the manufacturers to achieve basically what was flat new vehicle sales on a same store sales basis. so the american consumer definitely hesitated in the fourth quarter. now, admittedly for car sales it's at a high level. did still result in the best year ever for the industry, but i think the industry has plateaued at a very high level. we can run above 17 milliunits for years. but after six straight years of strong growth, i think the industry is going to plateau in 2016. liz: okay. when you say plateau -- so you would still say about 17 milliunits annualized; right? >> yeah. no, it will be above 17. somewhere around 17.5 plus or minus 100,000 either way which is an outstanding result.
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but the point is that the automotive industry has been contributing significant growth, it has been a bright spot in the recovery. and now you look at the fed report from yesterday and, you know, they're saying even though purchasing power for the consumer is going up, even though we have gasoline dividend for the consumer, the consumer is hesitating in spending. in the u.s. economy. and we see it. liz: yeah, and, you know, your stock is pulling back, but i wouldn't count you guys out. you guys have had record after record -- which, you know, trees don't grow to the sky. mike, thank you so much for giving us a real sense of what's going on. >> great seeing you today. liz: mike jackson, ceo auto nation. his quote here the industry has plateaued. the consumers a little bit tough right now. closing bell eight minutes away. come back right back. dow jones industrials up 130 points can the rally on hold? looks like it so far. stay tuned announcer: a horrific terror attack in paris.
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liz: okay, the cow jones industrials up 124. we have a rally but we're waiting on amazon and whole bunch of other names after the bell. >> that's right. amazon losing a little steam. it was up more than 9%, up roughly almost $50 a share. the at this point $49.11 a share. amazon, street expecting 1.56 cents a share. keep in mind this company is expected to have over $100 billion in sales for 2015. we're going find out how well they did in the holiday shopping season. did they control it. that is what analysts are looking for when analysts report. microsoft, some investors might have their head in the cloud. no dramatic increase for microsoft the way we're watching amazon. microsoft had revenue up 14% for the cloud service. they will pay attention to that. lizzie, back to you. liz: david and melissa will have the numbers. thank you very much.
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i did what i said i wouldn't do, i opened envelope, looking at 401(k). we have a chief investment officer, about 50 billion in client assets. >> i might to check that number, liz. it might be lower after this week. liz: thanks a lot. what are you telling your clients. i know they are. >> everybody is nervous. we're heading into period of weakness. we've been lightening up on ral is. liz: on day like this we're littenning up? >> we're lightening up on rallies. we think it is a time to be cautious. play defense on stocks. we think there is more downside than up side near term in this market. we want people to have a little cash to redeploy if we have another big downdraft which we think he could have, liz. that is when people will really panic. we don't think we have systemic
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risk in the financial system like 08, 09. we're looking for modest pullback. that will be a huge buying opportunity at that point. liz: you can't say when? we're not potting yet? >> i don't think we're ready to buy. if we're buying, we're buying defense. large cap health care, staples. dividend paying names. liz: it is finding those names that will pay to you wait? >> plenty of names out there right now. liz: utilities? >> mixed but name like kraft and staples will pay you to wait 3%. atvi a grit health care stock with great business opportunity, four or 5% yield. at&t, 5.4% yield. these kind ever stocks, sit on the sidelines. collect your dividend, wait for a better shot. liz: people might say this is our better shot. you're saying no? >> we're in a bear market.
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you want to sell rallies, not buy dips. we're still in that mood right now. we think there with much better opportunity lower. >> liz: sometime this year. can i say that. >> we think so. if you have to average in here that's okay. i wouldn't play this as the bottom. i think there could be more downside. liz: good to see you, steven. he looks a little tired taking all the calls from his client. what the hell is going on with my portfolio. i know what is happening at his office. that will do it for "countdown to the closing bell." we're holding on to gains of 1 pa points. but big news after the bell. melissa: tons of news. david: fight night in america. we're hours away from the republican debate and days away from the caucuses. it is make-or-break time with a third of republican voters undecided in iowa. melissa: flint is fighting back, suing the governor who says a fix for their water crisis isn't coming soon.
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one flint mother is actually helping to lead the charge is back with us this hour. david: this is disturbing. a new report showing hundreds of badge, cell phones and pistols have been lost or stolen from the department of homeland security. unbelievable. raising a lot of serious concerns. melissa: first stocks climbing as closing bell sounds on wall street. [closing bell rings] we're up 122 points. nasdaq composite trading higher by phone .9 of a point. we have breaking news on xerox. adam shapiro on floor of new york stock exchange. adam? reporter: that's right, xerox announced to dow jones, they're split into two companies. separate the hardware and service companies. carl icahn is expected to get three board seats on the services company. this is coming from dow jones that xerox will split.

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